MDaudit Announces Strategic Growth Investment from Bregal Sagemount and Primus Capital

MDaudit Announces Strategic Growth Investment from Bregal Sagemount and Primus Capital

For MDaudit:
Rachel Driskell
rdriskell@hayesmanagement.com

For Bregal Sagemount:
Jillian Hazelton, Head of Marketing & Communications
Jillian.hazelton@bregal.com

MDaudit, a premier provider of billing, coding compliance and revenue integrity software for health systems, hospitals, and provider groups, announced a strategic growth investment from Bregal Sagemount (“Sagemount”), a leading growth-focused private equity firm, and Primus Capital (“Primus”), the company’s existing investor. Terms of the transaction were not disclosed.

MDaudit, headquartered in Waltham, MA, specializes in delivering high-quality, customer-centric, and innovative software solutions to provide continuous risk monitoring in healthcare provider revenue cycle. The company offers a comprehensive SaaS platform encompassing billing, coding compliance and revenue integrity capabilities that serves 700K+ providers across 2500+ facilities with an Aggregate Net Patient Revenue of $225B+ in the U.S. With a strong focus on customer satisfaction and a commitment to excellence, MDaudit has built a reputation for providing tailored solutions that meet the unique needs of its clients.

Ritesh Ramesh, CEO of MDaudit, added, "We are incredibly excited to welcome Sagemount as our newest strategic partner and believe that their healthcare IT investment experience and Growth Factors resources will be invaluable in helping us further accelerate our growth and continue our market leadership to provide continuous risk monitoring capabilities to the healthcare industry. We are also humbled that Primus, our current investor, has also made a significant go-forward commitment to support our next phase of growth. With Sagemount and Primus’ support, I am confident that MDaudit is well-positioned to continue its legacy of excellence and innovation in the healthcare industry and will continue to achieve new heights."

"At Sagemount, we have a long history of identifying and investing in healthcare IT and revenue cycle management (“RCM”) solutions providers and targeted MDaudit as a category leader for their risk monitoring and revenue integrity software solutions," said Phil Yates, Founding Partner at Sagemount. "We believe that the company is in the early phases of its innovation curve based on its unique data moat and tailored workflows for critical RCM processes, and we look forward to working closely with the MDaudit and Primus teams to help drive continued growth and new product development."

Harrison Brunelli, Vice President at Sagemount noted, “As the operating environment and revenue cycle processes for healthcare providers become more complex, MDaudit is well-positioned to address key provider pain points through its unique data benchmarking and workflow automation capabilities.”

Phil Molner, Managing Partner at Primus said, “We have been thoroughly impressed by the trajectory MDaudit has driven since we first partnered with the company, and today’s announcement underscores the success this exceptional team has achieved. We are thrilled to welcome Sagemount as a new partner and to continue to partner with Ritesh and the management team to build upon their track record of innovation and growth serving the healthcare industry.”

MDaudit and Primus were advised by TripleTree and Goodwin Procter. Sagemount was advised by Goodwin Procter.

About MDaudit

MDaudit is a leading healthcare technology provider that partners with the nation’s premier healthcare systems to reduce compliance risk, improve efficiency, retain revenue, and enhance communication between cross-functional teams. Bringing solutions to an industry in transformation, MDaudit enables organizations to minimize billing risks and maximize revenue with an AI-powered, integrated, cloud-based platform that leverages the power of collaboration between people and sophisticated technology to keep humans at the forefront of decision-making while driving sustainable change. To learn more, visit www.mdaudit.com/.

About Sagemount

Bregal Sagemount is a leading growth-focused private capital firm with more than $7.5 billion of cumulative capital raised. The firm provides flexible capital and strategic assistance to market-leading companies in high-growth sectors across a wide variety of transaction situations. Bregal Sagemount has invested in 75 companies in a variety of sectors, including software, information / data services, financial technology & financial services, digital infrastructure, healthcare IT, and business & consumer services. The firm has offices in New York, Palo Alto, and Dallas. For more information, visit the Sagemount website: www.sagemount.com or follow us on LinkedIn.

About Primus

Primus Capital is a growth-oriented private equity firm focused on investing in leading healthcare, software, and technology-enabled services companies. Primus partners with exceptional management teams to accelerate growth, improve operating performance, and increase the value of the companies in which they invest. Primus pursues buyouts, control and minority recapitalizations, secondary share purchases, and expansion financings; this flexible approach enables Primus to engage with business owners and design tailored investment structures to meet the particular needs of the transaction. For more information, visit https://primuscapital.com.

About TripleTree

TripleTree is a healthcare investment bank focused on mergers and acquisitions, recapitalizations, and strategic advisory services. Since 1997, the firm has advised some of the most innovative, high-growth businesses in healthcare. The firm has offices in Minneapolis and New York. For more information, visit www.triple-tree.com.